Róisín Shortall (Dublin North West, Labour)
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Question 252: To ask the Minister for Transport the amount of subvention in each case he will provide to Bus Éireann, Dublin Bus and Iarnród Éireann in 2007; the amount in each case actually applied for; the way the agreed figure is arrived at; and if he will make a statement on the matter. [41997/06]

Martin Cullen (Waterford, Fianna Fail)
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A provision of €306.363m has been included in the 2007 Estimates for compensation to be paid to the CIE companies in respect of their public service obligations. While this provision is less than the €311.45m sought by the companies it nevertheless represents an 8% increase on the expected 2006 outturn of €285m. This substantial increase of 8% takes account of the additional operating costs associated with the additional buses for which funding was approved in September last. The increased provision for 2007 maintains the policy pursued in recent years of an annual increase in the compensation to CIE.

Over the period since 2001 the annual compensation has grown from €222.296m in 2001 to €306.363m in 2007 — an increase of almost 38%. The total amount paid in the period 2001 to date in 2006 is €1.5bn. The allocation of the 2007 provision between the three companies has yet to be finalised by my Department in consultation with CIE.